Website of The Care Home Environment Magazine

Key considerations for operators and investors

Ben Barbanel, head of debt finance at OakNorth Bank, offers advice to care operators looking to secure growth finance

With the UK population continuing to age, driven primarily by higher living and healthcare standards, the elderly care and retirement living industry remains one of the most important in the UK.

According to House of Commons research, the UK’s older generations are projected to grow significantly, with people aged 65 and over making up 24 per cent of the population by 2043 (17.4 million people), and those aged 75 and over projected to rise from 8 per cent in 2018 to 13 per cent by 2043.1 These figures will amplify the need for more elderly care in the future, meaning that more needs to be done to support the growth ambitions of profitable care home operators and investors moving forward.

However, before operators start to consider securing capital to support their growth, it is critical they first ensure that they have a strong business plan in place to navigate the current cost of living crisis and rising inflation, both of which are heavily impacting all parts of society. With recent reports revealing that some care homes are having to reduce the size of meals being served while simultaneously hiking up fees by hundreds of pounds a month,2 now more than ever, operators need to have an experienced management team in place and a healthy cash flow forecast to ensure they are able to ride out the current crisis without a drop in their current operational standards.

Log in or register FREE to read the rest

This story is Premium Content and is only available to registered users. Please log in at the top of the page to view the full text. If you don't already have an account, please register with us completely free of charge.
Register

Upcoming Events

Care Roadshows - Glasgow

Hampden Park Stadium, Glasgow
16th April 2024

Care Show London

ExCel, London
24 April 2024 - 25 April 2024

Future of Care Leaders Conference

The King’s Fund, London
Tuesday 30th April 2024

Care Roadshows - Liverpool

Aintree Racecourse, Liverpool
14th May 2024

Care Roadshows - Birmingham

Villa Park Stadium, Birmingham
16th May 2024

Care Home Awards

Royal Garden Hotel, London, W8 4PT
17th May 2024

Upcoming Events

Care Roadshows - Glasgow

Hampden Park Stadium, Glasgow
16th April 2024

Care Show London

ExCel, London
24 April 2024 - 25 April 2024

Future of Care Leaders Conference

The King’s Fund, London
Tuesday 30th April 2024

Care Roadshows - Liverpool

Aintree Racecourse, Liverpool
14th May 2024

Care Roadshows - Birmingham

Villa Park Stadium, Birmingham
16th May 2024

Care Home Awards

Royal Garden Hotel, London, W8 4PT
17th May 2024

Step Communications Ltd, Step House, North Farm Road, Tunbridge Wells, Kent TN2 3DR
Tel: 01892 779999
www.step-communications.com
© 2024 Step Communications Ltd. Registered in England. Registration Number 3893025